Selling a house can be a long, complex process, even when it’s in perfect condition. If your property needs some repairs or renovations, that can add another layer of challenges. Whether you’re dealing with a leaking roof, broken or outdated appliances, or a faulty HVAC system, houses in need of repair can deter potential buyers and prolong the selling process.
When you have a house in disrepair, selling it "as is" can be a viable solution to speed up your home sale and minimize hassle. But what should you consider before deciding if you should make the necessary home improvements or sell “as is?” And what is the best way to sell a house “as is?”
5 questions to ask when selling a home that needs repairs
Before you decide whether you want to sell “as is” or start fixing things around the house, you need to assess its condition and consider a few important factors. Here are some key questions to guide your decision-making:
1. How extensive are the repairs or renovations? Will you be able to live in your home during the process?
There’s a big difference between needing to replace a few shingles and getting a complete roof replacement. It’s crucial to understand the scope of any repairs or renovation projects you will need. Big projects may require you to find a temporary living situation, which could be costly and inconvenient.
2. How much will your repairs or renovations cost?
The price of any home improvement project will depend on what kind of work you need and the scope of the project. Home repairs and renovations can cost anywhere from a couple hundred to a couple thousand dollars.
3. How long will these projects take?
Repairs and renovations take time to complete, and that can push your selling timeline back by weeks, sometimes months. You’ll need to assess the expected duration of any work you want done in order to strategize your house sale effectively.
4. Will your home improvement projects increase your home value?
In most cases, the ROI (return on investment) for home improvement projects is less than 100%, which means you’d spend more than you’d earn back. However, making repairs or renovations to your house will make it more attractive to potential buyers, since most prefer a move-in ready house.
5. Are there issues that may prevent buyers from getting a loan?
Before you start to sell your house, you need to make sure there’s nothing that will stop people from buying it. Certain critical issues, such as severe roof damage or foundation damage, may prevent buyers from securing financing from lenders. Fixing any of these things should be prioritized. Identifying critical issues early on can help you navigate the selling process more effectively.
How you can sell your home “as is”
Once you've evaluated the condition of your house and determined that selling "as is" is the best option, here are actionable steps to streamline the process:
- Adjust your home price accordingly: You should set a realistic asking price that reflects the current condition of your house and accounts for any estimated cost of needed repairs. Pricing your home this way can attract buyers who are willing to invest in renovations.
- Disclose any known issues to potential buyers: Transparency is key when you’re selling a house "as is." While not all states require disclosure of property issues, it's considered best practice to inform potential buyers about any known defects or issues. This not only builds trust but also prevents any surprises during an inspection and lessens the risk of potential legal repercussions.
- Get an inspection report and bids on repairs/renovations: You may want to consider investing in a pre-listing inspection report and getting bids from contractors for your necessary repairs or renovations. With an inspection report, you can get a better picture of what condition your house is in and if there are any additional repairs needed. By getting bids from contractors, you can determine potential future costs and budget accordingly.
Consider selling to an off-market home buyer
If you want to skip making repairs, selling your house “as is” can offer several advantages, especially when dealing with a property that needs repairs. That’s because:
- Off-market buyers often buy properties in less-than-ideal condition.
- Many direct buyers don’t require disclosures or inspections.
- Selling to an off-market buyer usually means you can close quickly.
How to sell a house “as is” with HomeVestors®
With HomeVestors®, you can skip the repairs and renovations and sell your house “as is.” HomeVestors is a home-buying company with over 29 years of experience providing people with an easier home sale. We’re real estate property buyers who can help when you don’t want to spend time and money getting your house ready for the real estate market.† We don’t mind if your house needs a little TLC—or even a lot. You can also leave unwanted belongings behind, and we’ll take care of those for you free of charge.
Our 3-step home-buying process can take you from offer to closing quickly, sometimes in as little as 3 weeks. If that sounds too fast, we work with our sellers individually to determine the best closing date for their home sale.
When you want to avoid making home improvements to get your house ready for the market, HomeVestors is here for you. Reach out to us today for a free consultation toward a fast, convenient offer.
This blog is for informational purposes only and should not be considered legal advice.
